HPE Raises Outlook, Juniper Deal Faces DOJ Challenge

Hewlett Packard Enterprise (HPE) reported fiscal Q2 2025 revenue of $7.6–$7.63 billion, a 6-7% year-over-year increase that exceeded Wall Street expectations, with adjusted EPS of $0.38 also beating estimates. All major business segments experienced year-over-year revenue growth, led by a 13-15% surge in Hybrid Cloud. Despite the revenue gains, HPE reported negative cash flow due in part to a significant goodwill impairment. The company raised its full-year adjusted EPS guidance to $1.78–$1.90 and projected third-quarter revenue between $8.2 and $8.5 billion, both above analyst forecasts. HPE also highlighted reduced expected tariff impacts and ongoing operational efficiency efforts amid market challenges. Additionally, its planned $14 billion acquisition of Juniper Networks is now facing a legal challenge from the U.S. Department of Justice.